Hackers exploit bug to steal $30M in ether from Parity multisig wallet

Parity, a UK-based VC backed company founded by Ethereum co-founder Dr. Gavin Wood, on Wednesday issued a security alert stating that it has identified a vulnerability in Parity Wallet's variant of the standard multi-sig contract.

“Any user with assets in a multi-sig wallet created in Parity Wallet prior to 19/07/17 23:14:56 CEST,” were affected, Parity said.

According to data from Etherscan.io, 150,000 ETH (approximately $30 million) have been stolen so far, CoinDesk reported. The vulnerability was mitigated and white hackers were able to recover 377,000 ethers that were potentially vulnerable to the problem.

Parity said that the issue resulted from a bug in a specific multi-sig contract known as wallet.sol. It touted the severity of the bug as “critical” and urged affected users to “Immediately move assets contained in the multi-sig wallet to a secure address”.

Wood said that at least three ether addresses have been compromised as a result of the bug.

Zeppelin Solutions, a technology company focused on improving blockchain technology, security, and infrastructure, explained the hack in a blog post. Manual Araoz, CTO at Zeppelin Solutions, said that Edgeless Casino, Swarm City, and æternity, have been affected by this hack.

In an official statement, Swarm City said that 44,055 ETH were stolen from its wallet in the attack.

In its official blog post, æternity stated:

“Around 82,000 ETH (of 102,000 ETH) sent to æternity during Phase 2 were sent by an attacker to address 0xB3764761E297D6f121e79C32A65829Cd1dDb4D32 via an internal transaction. All other funds (ETH and BTC) of the æternity project are safe! The æternity development operations will continue as usual.”

Edgeless Casino has not issued any official statement on the incident at the time of writing.

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